[Congressional Bills 119th Congress] [From the U.S. Government Publishing Office] [H.R. 17 Introduced in House (IH)] <DOC> 119th CONGRESS 1st Session H. R. 17 To amend the Fair Labor Standards Act of 1938 to provide more effective remedies to victims of discrimination in the payment of wages on the basis of sex, and for other purposes. _______________________________________________________________________ IN THE HOUSE OF REPRESENTATIVES March 25, 2025 Ms. DeLauro (for herself, Mr. Figures, Ms. Sewell, Ms. Ansari, Mr. Stanton, Mr. Huffman, Mr. Thompson of California, Mr. Bera, Ms. Matsui, Mr. Garamendi, Mr. Harder of California, Mr. DeSaulnier, Ms. Pelosi, Ms. Simon, Mr. Gray, Mr. Swalwell, Mr. Mullin, Mr. Liccardo, Mr. Khanna, Ms. Lofgren, Mr. Panetta, Mr. Costa, Mr. Carbajal, Mr. Ruiz, Ms. Brownley, Mr. Whitesides, Ms. Chu, Ms. Rivas, Ms. Friedman, Mr. Cisneros, Mr. Sherman, Mr. Aguilar, Mr. Gomez, Mrs. Torres of California, Mr. Lieu, Ms. Kamlager-Dove, Ms. Sanchez, Mr. Takano, Mr. Garcia of California, Ms. Waters, Ms. Barragan, Mr. Tran, Mr. Correa, Mr. Min, Mr. Levin, Mr. Peters, Ms. Jacobs, Mr. Vargas, Ms. DeGette, Mr. Neguse, Mr. Crow, Ms. Pettersen, Mr. Larson of Connecticut, Mr. Courtney, Mr. Himes, Mrs. Hayes, Ms. Norton, Ms. McBride, Mr. Soto, Mr. Frost, Ms. Castor of Florida, Mrs. Cherfilus-McCormick, Ms. Lois Frankel of Florida, Mr. Moskowitz, Ms. Wilson of Florida, Ms. Wasserman Schultz, Mr. Bishop, Mr. Johnson of Georgia, Ms. Williams of Georgia, Mrs. McBath, Mr. David Scott of Georgia, Mr. Case, Ms. Tokuda, Mr. Jackson of Illinois, Ms. Kelly of Illinois, Mrs. Ramirez, Mr. Garcia of Illinois, Mr. Quigley, Mr. Casten, Mr. Davis of Illinois, Mr. Krishnamoorthi, Ms. Schakowsky, Mr. Schneider, Mr. Foster, Ms. Budzinski, Ms. Underwood, Mr. Sorensen, Mr. Mrvan, Mr. Carson, Ms. Davids of Kansas, Mr. McGarvey, Mr. Carter of Louisiana, Mr. Fields, Mr. Neal, Mr. McGovern, Mrs. Trahan, Mr. Auchincloss, Ms. Clark of Massachusetts, Mr. Moulton, Ms. Pressley, Mr. Lynch, Mr. Keating, Mr. Olszewski, Ms. Elfreth, Mr. Ivey, Mr. Hoyer, Mrs. McClain Delaney, Mr. Mfume, Mr. Raskin, Ms. Pingree, Mr. Golden of Maine, Ms. Scholten, Mrs. Dingell, Ms. McDonald Rivet, Ms. Stevens, Ms. Tlaib, Mr. Thanedar, Ms. Craig, Ms. Morrison, Ms. McCollum, Ms. Omar, Mr. Bell, Mr. Cleaver, Mr. Thompson of Mississippi, Mr. Davis of North Carolina, Ms. Ross, Mrs. Foushee, Ms. Adams, Mr. Pappas, Ms. Goodlander, Mr. Norcross, Mr. Conaway, Mr. Gottheimer, Mr. Pallone, Mr. Menendez, Ms. Pou, Mrs. McIver, Ms. Sherrill, Mrs. Watson Coleman, Ms. Stansbury, Mr. Vasquez, Ms. Leger Fernandez, Ms. Titus, Ms. Lee of Nevada, Mr. Horsford, Mr. Suozzi, Ms. Gillen, Mr. Meeks, Ms. Meng, Ms. Velazquez, Mr. Jeffries, Ms. Clarke of New York, Mr. Goldman of New York, Mr. Nadler, Mr. Espaillat, Ms. Ocasio-Cortez, Mr. Torres of New York, Mr. Latimer, Mr. Ryan, Mr. Riley of New York, Mr. Tonko, Mr. Mannion, Mr. Morelle, Mr. Kennedy of New York, Mr. Landsman, Mrs. Beatty, Ms. Kaptur, Ms. Brown, Mrs. Sykes, Ms. Bonamici, Ms. Dexter, Ms. Hoyle of Oregon, Ms. Bynum, Ms. Salinas, Mr. Fitzpatrick, Mr. Boyle of Pennsylvania, Mr. Evans of Pennsylvania, Ms. Dean of Pennsylvania, Ms. Scanlon, Ms. Houlahan, Ms. Lee of Pennsylvania, Mr. Deluzio, Mr. Hernandez, Mr. Amo, Mr. Magaziner, Mr. Clyburn, Mr. Cohen, Mrs. Fletcher, Mr. Green of Texas, Ms. Escobar, Mr. Castro of Texas, Mr. Cuellar, Ms. Garcia of Texas, Ms. Crockett, Ms. Johnson of Texas, Mr. Veasey, Mr. Vicente Gonzalez of Texas, Mr. Casar, Mr. Doggett, Mr. Scott of Virginia, Ms. McClellan, Mr. Vindman, Mr. Beyer, Mr. Subramanyam, Mr. Connolly, Ms. Plaskett, Ms. Balint, Ms. DelBene, Mr. Larsen of Washington, Ms. Perez, Ms. Randall, Ms. Jayapal, Ms. Schrier, Mr. Smith of Washington, Ms. Strickland, Mr. Pocan, and Ms. Moore of Wisconsin) introduced the following bill; which was referred to the Committee on Education and Workforce, and in addition to the Committee on Oversight and Government Reform, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned _______________________________________________________________________ A BILL To amend the Fair Labor Standards Act of 1938 to provide more effective remedies to victims of discrimination in the payment of wages on the basis of sex, and for other purposes. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE. This Act may be cited as the ``Paycheck Fairness Act''. SEC. 2. ENHANCED ENFORCEMENT OF EQUAL PAY REQUIREMENTS. (a) Definitions.--Section 3 of the Fair Labor Standards Act of 1938 (29 U.S.C. 203) is amended by adding at the end the following: ``(z) `Sex' includes-- ``(1) pregnancy, childbirth, or a related medical condition; ``(2) sexual orientation or gender identity; and ``(3) sex characteristics, including intersex traits. ``(aa) `Sexual orientation' includes homosexuality, heterosexuality, and bisexuality. ``(bb) `Gender identity' means the gender-related identity, appearance, mannerisms, or other gender-related characteristics of an individual, regardless of the individual's designated sex at birth.''. (b) Bona Fide Factor Defense and Modification of Same Establishment Requirement.--Section 6(d)(1) of the Fair Labor Standards Act of 1938 (29 U.S.C. 206(d)(1)) is amended-- (1) by striking ``No employer having'' and inserting ``(A) No employer having''; (2) by striking ``the opposite'' and inserting ``another''; (3) by striking ``any other factor other than sex'' and inserting ``a bona fide factor other than sex, such as education, training, or experience''; and (4) by adding at the end the following: ``(B) The bona fide factor defense described in subparagraph (A)(iv) shall apply only if the employer demonstrates that such factor (i) is not based upon or derived from a sex-based differential in compensation; (ii) is job-related with respect to the position in question; (iii) is consistent with business necessity; and (iv) accounts for the entire differential in compensation at issue. Such defense shall not apply where the employee demonstrates that an alternative employment practice exists that would serve the same business purpose without producing such differential and that the employer has refused to adopt such alternative practice. ``(C) For purposes of subparagraph (A), employees shall be deemed to work in the same establishment if the employees work for the same employer at workplaces located in the same county or similar political subdivision of a State. The preceding sentence shall not be construed as limiting broader applications of the term `establishment' consistent with rules prescribed or guidance issued by the Equal Employment Opportunity Commission.''. (c) Nonretaliation Provision.--Section 15 of the Fair Labor Standards Act of 1938 (29 U.S.C. 215) is amended-- (1) in subsection (a)-- (A) in paragraph (3), by striking ``employee has filed'' and all that follows and inserting ``employee-- ``(A) has made a charge or filed any complaint or instituted or caused to be instituted any investigation, proceeding, hearing, or action under or related to this Act, including an investigation conducted by the employer, or has testified or is planning to testify or has assisted or participated in any manner in any such investigation, proceeding, hearing or action, or has served or is planning to serve on an industry committee; ``(B) has opposed any practice made unlawful by this Act; or ``(C) has inquired about, discussed, or disclosed the wages of the employee or another employee (such as by inquiring or discussing with the employer why the wages of the employee involved are set at a certain rate or salary);''; (B) in paragraph (5), by striking ``and'' at the end; (C) in paragraph (6), by striking the period at the end and inserting ``; and''; and (D) by adding at the end the following: ``(7) to require an employee to sign a contract or waiver that would prohibit the employee from disclosing information about the employee's wages.''; and (2) by adding at the end the following: ``(c) Subsection (a)(3)(C) shall not apply to instances in which an employee who has access to the wage information of other employees as a part of such employee's essential job functions discloses the wages of such other employees to individuals who do not otherwise have access to such information, unless such disclosure is in response to a complaint or charge or in furtherance of an investigation, proceeding, hearing, or action under section 6(d), including an investigation conducted by the employer. Nothing in this subsection shall be construed to limit the rights of an employee provided under any other provision of law.''. (d) Enhanced Penalties.--Section 16(b) of the Fair Labor Standards Act of 1938 (29 U.S.C. 216(b)) is amended-- (1) by inserting after the first sentence the following: ``Any employer who violates section 6(d), or who violates the provisions of section 15(a)(3) in relation to section 6(d), shall additionally be liable for such compensatory damages, or, if the employee demonstrates that the employer acted with malice or reckless indifference, punitive damages as may be appropriate, except that the United States shall not be liable for punitive damages.''; (2) in the sentence beginning ``An action to'', by striking ``the preceding sentences'' and inserting ``any of the preceding sentences of this subsection''; (3) in the sentence beginning ``No employees shall'', by striking ``No employees'' and inserting ``Except with respect to class actions brought to enforce section 6(d), no employee''; (4) by inserting after the sentence referred to in paragraph (3), the following: ``Notwithstanding any other provision of Federal law, any action brought to enforce section 6(d) may be maintained as a class action as provided by the Federal Rules of Civil Procedure.''; and (5) in the sentence beginning ``The court in''-- (A) by striking ``in such action'' and inserting ``in any action brought to recover the liability prescribed in any of the preceding sentences of this subsection''; and (B) by inserting ``, including expert fees'' before the period. (e) Action by the Secretary.--Section 16(c) of the Fair Labor Standards Act of 1938 (29 U.S.C. 216(c)) is amended-- (1) in the first sentence-- (A) by inserting ``or, in the case of a violation of section 6(d), additional compensatory or punitive damages, as described in subsection (b),'' before ``and the agreement''; and (B) by inserting before the period the following: ``, or such compensatory or punitive damages, as appropriate''; (2) in the second sentence, by inserting before the period the following: ``and, in the case of a violation of section 6(d), additional compensatory or punitive damages, as described in subsection (b)''; and (3) in the third sentence, by striking ``the first sentence'' and inserting ``the first or second sentence''. (f) Enforcement Authority.-- (1) In general.--The Equal Opportunity Employment Commission shall carry out the functions and authorities described in section 1 of Reorganization Plan No. 1 of 1978 (92 Stat. 3781; 5 U.S.C. App.) to enforce and administer the provisions of section 6(d) of the Fair Labor Standards Act of 1938 (29 U.S.C. 206(d)), except that the Secretary of Labor, through the Office of Federal Contract Compliance Programs, may also enforce this provision with respect to Federal contractors, Federal subcontractors, and federally assisted construction contractors, within the jurisdiction of the Office of Federal Contract Compliance Programs under Executive Order No. 11246 (42 U.S.C. 2000e note; relating to equal employment opportunity) or a successor Executive order. (2) Coordination.--The Equal Opportunity Employment Commission shall issue such regulations as may be necessary to explain and implement the standards of such section 6(d). The Secretary of Labor may issue regulations to govern procedures for enforcement of section 6(d) by the Office of Federal Contract Compliance Programs. The Secretary of Labor and the Equal Employment Opportunity Commission shall establish other coordinating mechanisms as may be necessary. SEC. 3. TRAINING. The Equal Employment Opportunity Commission and the Secretary of Labor, acting through the Office of Federal Contract Compliance Programs, subject to the availability of funds appropriated under section 11, shall provide training to employees of the Commission and the Office of Federal Contract Compliance Programs and to affected individuals and entities on matters involving discrimination in the payment of wages. SEC. 4. NEGOTIATION SKILLS TRAINING. (a) Negotiation Bias Training.-- (1) In general.--The Secretary of Labor shall establish a program to award contracts and grants for the purpose of training employers about the role that salary negotiation and other inconsistent wage setting practices can have on allowing bias to enter compensation. (2) Training topics.--Each training program established using funds under section (a) shall include an overview of how structural issues may cause inequitable earning and advancement opportunities for women and people of color and assist employers in examining the impact of a range of practices on such opportunities, including-- (A) self-auditing to identify structural issues that allow bias and inequity to enter compensation; (B) recruitment of candidates to ensure diverse pools of applicants; (C) salary negotiations that result in similarly qualified workers entering at different rates of pay; (D) internal equity among workers with similar skills, effort, responsibility and working conditions; (E) consistent use of market rates and incentives driven by industry competitiveness; (F) evaluation of the rate of employee progress and advancement to higher paid positions; (G) work assignments that result in greater opportunity for advancement; (H) training, development and promotion opportunities; (I) impact of mid-level or senior level hiring in comparison to wage rates of incumbent workers; (J) opportunities to win commissions and bonuses; (K) performance reviews and raises; (L) processes for adjusting pay to address inconsistency and inequity in compensation; and (M) other topics that research identifies as a common area for assumptions, bias and inequity to impact compensation. (b) Program Authorized.-- (1) In general.--The Secretary of Labor, after consultation with the Secretary of Education, is authorized to establish and carry out a grant program. (2) Grants.--In carrying out the program, the Secretary of Labor may make grants on a competitive basis to eligible entities to carry out negotiation skills training programs for the purposes of addressing pay disparities, including through outreach to women and girls. (3) Eligible entities.--To be eligible to receive a grant under this subsection, an entity shall be a public agency, such as a State, a local government in a metropolitan statistical area (as defined by the Office of Management and Budget), a State educational agency, or a local educational agency, a private nonprofit organization, or a community-based organization. (4) Application.--To be eligible to receive a grant under this subsection, an entity shall submit an application to the Secretary of Labor at such time, in such manner, and containing such information as the Secretary of Labor may require. (5) Use of funds.--An entity that receives a grant under this subsection shall use the funds made available through the grant to carry out an effective negotiation skills training program for the purposes described in paragraph (2). (c) Incorporating Training Into Existing Programs.--The Secretary of Labor and the Secretary of Education shall issue regulations or policy guidance that provides for integrating the negotiation skills training, to the extent practicable, into programs authorized under-- (1) in the case of the Secretary of Education, the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6301 et seq.), the Carl D. Perkins Career and Technical Education Act of 2006 (20 U.S.C. 2301 et seq.), the Higher Education Act of 1965 (20 U.S.C. 1001 et seq.), and other programs carried out by the Department of Education that the Secretary of Education determines to be appropriate; and (2) in the case of the Secretary of Labor, the Workforce Innovation and Opportunity Act (29 U.S.C. 3101 et seq.), and other programs carried out by the Department of Labor that the Secretary of Labor determines to be appropriate. (d) Report.--Not later than 18 months after the date of enactment of this Act, and annually thereafter, the Secretary of Labor, in consultation with the Secretary of Education, shall prepare and submit to Congress a report describing the activities conducted under this section and evaluating the effectiveness of such activities in achieving the purposes of this section. SEC. 5. RESEARCH, EDUCATION, AND OUTREACH. (a) In General.--Not later than 18 months after the date of enactment of this Act, and periodically thereafter, the Secretary of Labor shall conduct studies and provide information to employers, labor organizations, and the general public concerning the means available to